July 15, 2020
The year 2020 has brought many speculations and unforeseen challenges for the crypto industry. It has not only affected the crypto market but also the overall world economy. COIVD has changed the way market functions, where it has affected the labor-oriented jobs and industry at the same time it had given an amazing boost to the IT and digital sectors.
It has also shifted the market dependability to the digital world along with immense opportunities for online institutions. Last year has been a transformative year for the blockchain and crypto industry as the technical advancements have bought in more practical use cases for real-world problems. We observed the rise of startups and new alliances adopting blockchain for their infrastructural projects for their growth. New cryptocurrencies were launched and we saw growth in the number of stable coins as well. Many countries and their governing bodies are also paying more attention to the understanding and adaptability of engaging in crypto projects in general. This also triggers due to Facebook’s plan for launching its Libra Cryptocurrency. Overall, this change is helping us sail through the ups and downs, and volatility in current circumstances.
Crypto startups hit reality: Many crypto startups have faced serious challenges and are also failing in taking their projects to their estimated outcomes. There is also a lack of understanding in the concept and its deployment which is causing the failure. They may adopt alternatives or work on some new concepts. The specialists are looking for new business opportunities for their technological deployment. But this is going to take time and one has to keep trying and have patience.
New advancement in Blockchain technology: Blockchain itself is a demanding technology and is ever-evolving. Constant developments and new concepts are adding up every time and it is being altered to be made use for addressing more real-world problems. We see new versions of blockchain coming up by 2020 and beyond. The focus is to maximize usability and finding a good product-market fit. We are looking at the launch of fourth-generation Blockchain projects, with a varied range of applications being built on the DLT ecosystem.
A more realistic approach for Blockchain A more realistic and practical approach for blockchain is expected this year onwards. Those companies who have ventured into blockchain will be now taking a more strategic approach towards the whole idea. Enterprises and industries will focus on the real use cases of blockchain that can deliver them with good results along with apt usability and fitment in their existing projects or production.
Exchanges to become more stringent about their policies Due to the rise in new cryptocurrencies coming into the market, exchanges also have adapted a more professional approach to safeguard the interest of its investors or traders. There will be a decline in the number of coins/tokens as they will be filtered out because of new rules and regulations. This will also filter out the market and we may see the delisting of many.
Growing blockchain adoption in coming times There has been a rise in the adoption of blockchain technology as a whole in many industries. Many of the senior-most finance experts say that there will be mainstream adoption of blockchain in the coming times. Some experts also believe that blockchain is overhyped.
The 2018 PwC survey polled 600 executives from 15 territories. When asked about their involvement in blockchain, 84% answered that their companies were involved with the technology to a certain extent.(source: PwC).
After the United States, China has been investing a lot in blockchain and many Chinese executives believe that smart contracts are highly important.
The Crypto market is expected to experience a much steadier growth in the coming times. This is because of the rise in the demand of the people worldwide, who are finding its effective use and value. Blockchain projects and digital assets are set to grow with the adoption of its breakthroughs in mainstream use cases. The future of blockchain is promising but only after stumbling through the initial stages of its mass adoption and understanding for better deployment.